Investment and Loan Planning. The employee credit union at State University is planning the usage of funds for the coming year. The credit union makes four types of loans to its members. In addition, it invests in "risk-free" securities in order to stabilize income. The various revenue - producing investments together with annual rates of return are as follows: State laws and credit union policies impose the following restrictions on the composition of the credit union's loans and investments: "Risk - Free" securities may not exceed 30% of the total funds. Signature loans may not exceed 25% of total loans Furniture loans plus "other secured loans" may not exceed 50% of the total of the three types of secured loans Signature loans plus "other secured loans" may not exceed the amount invested in "Risk - Free" securities. If the firm projects $1,000,000 available for loans and investments during the coming year, how should the funds be allocated to each of the investment alternatives in order to maximize total annual return? i cant get the numbers correct i the excel solver data. please help!
Investment and Loan Planning. The employee credit union at State University is planning the usage of funds for the coming year. The credit union makes four types of loans to its members. In addition, it invests in "risk-free" securities in order to stabilize income. The various revenue - producing investments together with annual rates of return are as follows: State laws and credit union policies impose the following restrictions on the composition of the credit union's loans and investments: "Risk - Free" securities may not exceed 30% of the total funds. Signature loans may not exceed 25% of total loans Furniture loans plus "other secured loans" may not exceed 50% of the total of the three types of secured loans Signature loans plus "other secured loans" may not exceed the amount invested in "Risk - Free" securities. If the firm projects $1,000,000 available for loans and investments during the coming year, how should the funds be allocated to each of the investment alternatives in order to maximize total annual return? i cant get the numbers correct i the excel solver data. please help!
Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
Section: Chapter Questions
Problem 1RQ
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Transcribed Image Text:Investment and Loan Planning. The employee credit union at State University is planning the usage of funds
for the coming
year. The credit union makes four types of loans to its members. In addition, it invests in "risk-free" securities
in order to stabilize
income. The various revenue - producing investments together with annual rates of return are as follows:
State laws and credit union policies impose the following restrictions on the composition of the credit union's
loans and
investments:
"Risk - Free" securities may not exceed 30% of the total funds.
Signature loans may not exceed 25% of total loans
Furniture loans plus "other secured loans" may not exceed 50% of the total of the three types of secured
loans
Signature loans plus "other secured loans" may not exceed the amount invested in "Risk - Free" securities.
If the firm projects $1,000,000 available for loans and investments during the coming year, how should the
funds be allocated to
each of the investment alternatives in order to maximize total annual return?
i cant get the numbers correct i the excel solver data. please help!
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